The labor effects of judicial bias in bankruptcy
利用巴西圣保罗州法院随机分配破产案件，发现偏向企业存续的法官导致员工更可能留任，但三至五年后平均工资更低，原因与信息不完全和换工作成本有关。
We study the effect of judicial bias favoring firm continuation in bankruptcy on the labor market outcomes of employees by exploiting the random assignment of cases across courts in the State of São Paulo in Brazil. Employees of firms assigned to courts that favor firm continuation are more likely to stay with their employer, but they earn, on average, lower wages three to five years after bankruptcy. We discuss several potential mechanisms that can rationalize this result, and provide evidence that imperfect information about outside options in the local labor market and adjustment costs associated with job change play an important role.